Eurasia Mining plc (LON:EUA) is looking to refinance with a director’s loan as it steps up production at the West Kytlim alluvial platinum mine in Russia.
A loan arrangement with third parties and Dmitry Suschov, a director of the company, for £1.6mln will repay the existing Sanderson loan arrangement, though the details have yet to be confrmed.
Eurasia posted first revenues of £140,00 in 2016 as it produced its first platinum at West Kytlim. Currency movements helped it post profits of £994,000 (£1.69mln loss).
This year at West Kytlim, Eurasia expects a full season of production and if development of a second area at Kluchiki goes to schedule a second plant may also come on stream before the end of the field season.
At Monchetundra, a major compilation effort combined with new hydrogeological and metallurgical work, culminated in a feasibility study being lodged in December 2016 as an application for the approval of reserves under the Russian classification system
This study had been approved and the company is waiting for the formal registration of these reserves.
Eurasia said the next step is the application for a Discovery Certificate and then a production licence for a 25-year term. A development plan for two deposits will then follow.
At the Semenovsky tailings project, several project finance options are being considered with the aim to minimise shareholder dilution.
The company added that Michael Martineau is also standing down as chairman with Christian Schaffalitzky to take over as Executive Chairman and acting CEO.